Layoffs latest turmoil at Mercantec

E-commerce software manufacturer Mercantec Inc. announced Friday that it has laid off 15 employees--23% of its staff--effective immediately.

Newly promoted CEO Tim Noe said the cuts had been in the works for many months, and came at the "tail-end" of a strategic plan launched last year to move the Naperville-based company toward profitability. Five-year-old Mercantec has been struggling to get out of the red, and executives say the company will be profitable in 12 to 18 months.

The cuts were in administrative, support and engineering positions, said Mr. Noe. No management positions were eliminated.

The announcement comes in the wake of significant management changes. Mr. Noe took the CEO reins earlier in the week from Acting CEO Dia Weil, who also is president and chief operating officer. Andrew Parker, who remains chairman, stepped down from the CEO position last month.